Opinion Contributor

Restore states’ authority to collect online sales tax

In a 21st-century economy, it does not make sense to play by 1950s rules. A sale no longer requires a storefront or a handshake. The Internet has spurred our economy and increased choice, but it does not need a subsidy — it needs to follow the rules like everyone else. Main Street retailers contribute to their communities, sponsor the Little League teams and hire our citizens.

These efforts to grant states collection authority over remote vendors will help states close a tax gap that is costing states billions every year, help small businesses comply with the law and expand their business and assist consumers through fair competition.

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For business, it means that the corner store is on the same footing as the online retailer. It also means that the corner store can grow its business more easily. Simplified tax requirements make doing business easier by reducing risk and creating opportunity.

The legislation also helps consumers. Fair competition means more choice. The success of electronic commerce should not mean the death of Main Street. Instead, our laws should set the stage for all businesses to compete and succeed.

This is an issue whose time has come, and Senate leaders have demonstrated this by choosing to move forward with the vote on Marketplace Fairness. States look forward to the restoration of this fundamental principle of federalism: control over their own revenues.

Dan Crippen is the executive director of the National Governors Association and a former director of the Congressional Budget Office.